On a large scale, obviously, the major change with new software update is the support for Windows Phone 7. However, there are at least several nuances that have changed with the operation of Zune software. Here's what I've found so far, anyone see anything else?:

1. Seems to load faster (better)
2. When double clicking on a song in the SONGS view, it takes a good 10 seconds before the song will play, before it was almost instantaneous. This is not an issue if you use the >> to select to go to the next song (worse)
3. The font is slightly different (smaller) in the heading (neutral)
4. Synching seems faster (better)

There have to be more changes. Very disappointed they didn't fix the "Date Last Played" tag. The software still has no idea WHEN you last played a song on the device.

- It now says "drag and drop things here to sync with your device" above the device icon when a device is connected
- Under Pictures you can now share and edit photos with your Windows Live photo gallery and also create a movie with your pictures (via Movie Maker) (unless I missed this before)
- Videos can now be sorted by DRM-free and Purchased (unless I missed this before)
- When you right-click an album the "sync with device" was moved a little farther up the list
- I now get an option to "use song credit" on certain albums when I right-click them (Zune Pass only)

Seems like there's a couple other minor things aside from what you guys mentioned. It definitely syncs WAY QUICKER now. The software seems to lock up/freeze a bit more now though.